How Does Institutional Change Coincide with Changes in the Quality of Life? An Exemplary Case Study

This paper provides a framework to assess correlations between the change of institutional functions (political centralization, plurality, rule of law, security of property, economic liberty, measured by 12 indicators) and improvements in human development (income, education, health) and violence limitations (conflict-related death tolls) to separate effective from ineffective institutional change. We apply this framework to a low-end institutional environment and provide a century case study of today’s Democratic Republic of the Congo (DRC). Major results are threefold: first, we provide a thick description of institutional development in the Congo in a colonial and post-colonial and hence long-run setting; secondly, we identify periods of institutional change with distinctly different degrees of effectiveness; and thirdly, we are able to provide qualitative information on the questions of perspective (we follow a non-elitist approach), institutional connections, and timing of effects. Finally we propose extension of the framework, especially with respect to in-depth studies of critical transition periods, and its application to comparative case studies.

[1]  M. Taylor The Belgian Congo: Some Recent Changes , 1960 .

[2]  G. Brausch Belgian administration in the Congo , 1961 .

[3]  M. Taylor,et al.  The Belgian Congo , 1962 .

[4]  Ruth M. Slade King Leopold's Congo: Aspects of the Development of Race Relations in the Congo Independent State , 1974 .

[5]  R. Fox,et al.  “The Second Independence”: a Case Study of the Kwilu Rebellion in the Congo , 1965, Comparative Studies in Society and History.

[6]  C. Young Politics in the Congo , 1965 .

[7]  C. Young,et al.  Politics in the Congo: Decolonization and Independance , 1965 .

[8]  E. N'dongala DEVELOPPEMENT RURAL ET FONCTION COOPERATIVE DANS L'AGRICULTURE CONGOLAISE AVANT LA DECOLONISATION , 1966 .

[9]  Richard L. Sklar,et al.  Politics in the Congo: Decolonization and Independence , 1966 .

[10]  A. Wolfe Capital and the Congo , 1966 .

[11]  C. Young,et al.  Lunda under Belgian Rule: The Politics of Ethnicity , 1977, American Political Science Review.

[12]  D. J. Gould Local Administration in Zaire and Underdevelopment , 1977 .

[13]  L. H. Gann,et al.  The Rulers of Belgian Africa, 1884-1914 , 1979 .

[14]  M. Crowder The Cambridge History of Africa , 1979 .

[15]  P. Whitaker Zaire: The Political Economy of Underdevelopment , 1980 .

[16]  F. Bézy,et al.  Accumulation et sous-développement au Zäire, 1960-1980 , 1981 .

[17]  Jean-Luc Vellut [Hégémonies en construction: Articulations entre Etat et Entreprises dans le bloc colonial Belge (1908-1960)] , 1982 .

[18]  H. Singer,et al.  Book Review: Poverty and Famines-An Essay on Entitlement and Deprivation , 1982, Journal of Xidian University.

[19]  R. Lemarchand Political Awakening in the Belgian Congo. , 1982 .

[20]  P. Shinnie The Cambridge History of Africa , 1983 .

[21]  B. Barber Strong Democracy: Participatory Politics for a New Age , 1985 .

[22]  Thomas M. Callaghy The State-Society Struggle: Zaire in Comparative Perspective , 1984 .

[23]  C. Young Zaire: Is There a State? , 1984 .

[24]  J. Vansina,et al.  King Leopold's Congo, 1886–1908 , 1985 .

[25]  Stephen L. Newman Strong Democracy: Participatory Politics for a New Age , 1986, Telos.

[26]  Douglass C. North,et al.  Measuring the Transaction Sector in the American Economy, 1870-1970 , 1986 .

[27]  Peter Gorringe The Economic Institutions of Capitalism: Firms, Markets and Relational Contracting by Oliver E. Williamson , 1987 .

[28]  D. Northrup,et al.  Beyond the bend in the river : African labor in eastern Zaire, 1865-1940 , 1989 .

[29]  D. North Institutions, Institutional Change and Economic Performance: Economic performance , 1990 .

[30]  M. Peil The dialectics of oppression in Zaire , 1990 .

[31]  Valerie Cromwell,et al.  The Efficient Secret: The Cabinet and the Development of Political Parties in Victorian England , 1990 .

[32]  J. Macgaffey The Real Economy of Zaire: The Contribution of Smuggling and Other Unofficial Activities to National Wealth , 1993 .

[33]  D. North,et al.  Economic performance through time , 2012 .

[34]  G. Brady Governing the Commons: The Evolution of Institutions for Collective Action , 1993 .

[35]  B. Magubane A Working Class in the Making: Belgian Colonial Labor Policy, Private Enterprise, and the African Mineworker, 1907–1951. JOHN HIGGINSON , 1993 .

[36]  Osumaka Likaka Rural Protest: The Mbole Against Belgian Rule, 1897-1959 , 1994 .

[37]  Barry R. Weingast The Economic Role of Political Institutions: Market-Preserving Federalism and Economic Development , 1995 .

[38]  W. Form,et al.  Embedded Autonomy: States and Industrial Transformation. , 1996 .

[39]  C. Freeman The ‘National System of Innovation’ in historical perspective , 1995 .

[40]  Mahir Şlaul The Real Economy of Zaire: The Contribution of Smuggling & Other Unofficial Activities to National Wealth. JANET MACGAFFEY, VWAKYANAKAZI MUKOHYA, RUKARANGIRA WA NKERA, BROOKE GRUNDFEST SCHOEPF, MAKWALA MA MAVAMBU YE BEDA, and WALU ENGUNDU , 1995 .

[41]  Douglass C. North,et al.  Empirical studies in institutional change , 1996 .

[42]  Amartya Sen,et al.  India: Economic Development and Social Opportunity , 1996 .

[43]  Michael D. Ward,et al.  Double Take , 1997 .

[44]  Jean-Philippe Peemans Le Congo-Zaire au gré du XXème siècle, Etat,Economie,Société 1880-1990 , 1997 .

[45]  P. Woodward Citizen and Subject: Contemporary Africa and the legacy of late colonialism , 1997 .

[46]  Michael G. Schatzberg Beyond Mobutu: Kabila and the Congo , 1997 .

[47]  A. Wedeman,et al.  Lootcers, Rent-Scrapers, and Dividend-ollectors: Corruption and Growth in Zaire, South Korea, and the Philippines , 1997 .

[48]  J. Boyce,et al.  Congo's Odious Debt: External Borrowing and Capital Flight in Zaire , 1998 .

[49]  Kisangani N. F. Emizet Confronting Leaders at the Apex of the State: The Growth of the Unofficial Economy in Congo , 1998, African Studies Review.

[50]  John Cartwright,et al.  Warlord Politics and African States , 1998 .

[51]  Melanie McNulty,et al.  The collapse of Zaïre: implosion, revolution or external sabotage? , 1999, The Journal of Modern African Studies.

[52]  Douglass C. North,et al.  Understanding the Process of Economic Change , 1999 .

[53]  Richard A. Posner,et al.  Creating and Enforcing Norms, With Special Reference to Sanctions , 1999 .

[54]  O. Williamson The New Institutional Economics: Taking Stock, Looking Ahead , 2000 .

[55]  James A. Robinson,et al.  The Colonial Origins of Comparative Development: An Empirical Investigation , 2000 .

[56]  P. Hall,et al.  Varieties of Capitalism , 2001 .

[57]  David A. Lake,et al.  The Invisible Hand of Democracy , 2001 .

[58]  G. Martin States and Power in Africa: Comparative Lessons in Authority and Control , 2001, African Studies Review.

[59]  D. Rodrik The Globalization Paradox: Democracy and the Future of the World Economy (an excerpt) , 2001 .

[60]  M. Aoki,et al.  Toward a Comparative Institutional Analysis , 2002 .

[61]  M. Turshen Development as Freedom , 2001 .

[62]  Koen Vlassenroot,et al.  Violent culture of violence? The case of Eastern Congo , 2001 .

[63]  M. Mamdani When Victims Become Killers: Colonialism, Nativism, and the Genocide in Rwanda , 2001 .

[64]  M. Shirley Thirsting for efficiency : the economics and politics of urban water system reform , 2002 .

[65]  Andrei Shleifer,et al.  The New Comparative Economics , 2003 .

[66]  R. Edgerton The Troubled Heart of Africa: A History of the Congo , 2002 .

[67]  Geoffrey M. Hodgson,et al.  The Evolution of Institutions: An Agenda for Future Theoretical Research , 2002 .

[68]  K. Sokoloff,et al.  NBER WORKING PAPER SERIES INSTITUTIONAL AND NON-INSTITUTIONAL EXPLANATIONS OF ECONOMIC DIFFERENCES , 2003 .

[69]  G. Tabellini,et al.  The Economic Effects of Constitutions: What Do the Data Say , 2003 .

[70]  Robert I. Rotberg,et al.  State failure and state weakness in a time of terror , 2003 .

[71]  Leonce Ndikumana,et al.  The Economics of Civil War: The Case of the Democratic Republic of Congo , 2003 .

[72]  J. Richard,et al.  The Transplant Effect , 2003 .

[73]  Randolph M. Siverson,et al.  The Logic of Political Survival , 2003 .

[74]  Benjamin Rubbers La dislocation du secteur minier au Katanga (RDC) , 2004 .

[75]  Gérard Roland,et al.  Understanding institutional change: Fast-moving and slow-moving institutions , 2004 .

[76]  Koen Vlassenroot,et al.  Conflict and social transformation in eastern DR Congo , 2004 .

[77]  Dani Rodrik,et al.  RULE OF LAW , DEMOCRACY , OPENNESS , AND INCOME : ESTIMATING THE INTERRELATIONSHIPS 1 , 2004 .

[78]  D. Rodrik Industrial Policy for the Twenty-First Century , 2004 .

[79]  P. Evans Development as institutional change: The pitfalls of monocropping and the potentials of deliberation , 2004 .

[80]  N. Gennaioli,et al.  The modern impact of precolonial centralization in Africa , 2005 .

[81]  Koen Vlassenroot,et al.  Land, migration and conflict in eastern DRC , 2005 .

[82]  Daron Acemoglu,et al.  Economic Origins of Dictatorship and Democracy , 2005 .

[83]  Richard R. Nelson,et al.  Technology, Institutions, and Economic Growth , 2005 .

[84]  R. Bensel Politics in Time: History, Institutions, and Social Analysis , 2005, Perspectives on Politics.

[85]  E. Ostrom Understanding Institutional Diversity , 2005 .

[86]  Pranab Bardhan,et al.  Institutions and Development , 2005 .

[87]  D. Acemoglu Constitutions, Politics, and Economics: A Review Essay on Persson and Tabellini's The Economic Effects of Constitutions , 2005 .

[88]  Bob W. White The Political Undead: Is It Possible to Mourn for Mobutu's Zaire? , 2005, African Studies Review.

[89]  Nicholas Sambanis,et al.  Understanding Civil War : Evidence and Analysis, Volume 1. Africa , 2005 .

[90]  W. Streeck,et al.  Beyond Continuity: Institutional Change in Advanced Political Economies , 2005 .

[91]  F. Acker Where did all the land go? Enclosure & social struggle in Kivu (D.R.Congo) , 2005 .

[92]  Tom De Bruyn,et al.  The Democratic Republic of Congo , 2006 .

[93]  Ha-Joon Chang Understanding the Relationship between Institutions and Economic Development: Some Key Theoretical Issues , 2006 .

[94]  Elinor Ostrom,et al.  Developing a Method for Analyzing Institutional Change , 2007 .

[95]  Geoffrey M. Hodgson,et al.  The Institutions , 2018, The Popular Arts.

[96]  A. Exenberger,et al.  The dark side of globalization. The vicious cycle of exploitation from world market integration: Lesson from the Congo , 2007 .

[97]  C. A. Bayly,et al.  Indigenous and Colonial Origins of Comparative Economic Development: The Case of Colonial India and Africa , 2008 .

[98]  A. Cave Thin White Line , 2008 .

[99]  Dani Rodrik,et al.  Second-Best Institutions , 2008 .

[100]  G. Austin The ‘reversal of fortune’ thesis and the compression of history: Perspectives from African and comparative economic history , 2008 .

[101]  Claudia R. Williamson,et al.  Informal institutions rule: institutional arrangements and economic performance , 2009 .

[102]  Paul Collier,et al.  Wars, Guns, and Votes: Democracy in Dangerous Places , 2009 .

[103]  S. Voigt How (Not) to measure institutions , 2009, Journal of Institutional Economics.

[104]  O. Olsson On the democratic legacy of colonialism , 2009 .

[105]  J. Gilbert*,et al.  Land Rights and the Forest Peoples of Africa: Historical, Legal and Anthropological Perspectives , 2009 .

[106]  P. Richens The Economic Legacies of the "Thin White Line": Indirect Rule and the Comparative Development of Sub-Saharan Africa , 2012 .

[107]  A. Hopkins THE NEW ECONOMIC HISTORY OF AFRICA* , 2009, The Journal of African History.

[108]  Alastair Smith,et al.  Political Survival and Endogenous Institutional Change , 2009 .

[109]  Juan Bautista Lucca,et al.  Politics in Time: History, Institutions and Social Analysis , 2009 .

[110]  F. Buelens,et al.  Returns on Investments During the Colonial Era: The Case of the Belgian Congo , 2009 .

[111]  Nan Li,et al.  World Population Prospects, the 2010 Revision: Estimation and projection methodology , 2011 .

[112]  M. Linden Humanitarian Intervention and Changing Labor Relations. The Long-term Consequences of the Abolition of the Slave Trade , 2011 .

[113]  Julia Seibert More Continuity Than Change? New Forms Of Unfree Labor In The Belgian Congo, 1908-1930 , 2011 .

[114]  R. Thakur,et al.  The Dark Side of Globalization , 2011 .

[115]  J. Wallis Institutions, organizations, impersonality, and interests: The dynamics of institutions☆ , 2011 .

[116]  A. Dutt Institutional change and economic development: concepts, theory and political economy , 2011, Journal of Institutional Economics.

[117]  S. Lester The Globalization Paradox: Democracy and the Future of the World Economy by Dani Rodrik New York: Norton, 2011 , 2011, World Trade Review.

[118]  M. Walzl,et al.  Optimal contracts based on subjective evaluations and reciprocity , 2012 .

[119]  Matthias Sutter,et al.  Sabotage in Tournaments: Evidence from a Natural Experiment , 2012, SSRN Electronic Journal.

[120]  Barry R. Weingast,et al.  In the shadow of violence : politics, economics, and the problems of development , 2012 .

[121]  Kurt Hornik,et al.  History Repeating: Spain Beats Germany in the EURO 2012 Final , 2012 .

[122]  Matthias Sutter,et al.  The Good, the Bad and the Naive: Do Fair Prices Signal Good Types or Do They Induce Good Behaviour? , 2012, SSRN Electronic Journal.

[123]  Matthias Sutter,et al.  Testing a Forgotten Aspect of Akerlof's Gift Exchange Hypothesis: Relational Contracts with Individual and Uniform Wages , 2012, SSRN Electronic Journal.

[124]  Achim Zeileis,et al.  For a list of recent papers see the backpages of this paper. Heterogeneity of Regional Growth in the European Union , 2022 .

[125]  Leigh Gardner Taxing Colonial Africa: The Political Economy of British Imperialism , 2012 .

[126]  James A. Robinson,et al.  Why nations fail ? The origins of Power , Prosperity and Poverty , 2015 .

[127]  Nikos Nikiforakis,et al.  Norm Enforcement in the City: A Natural Field Experiment , 2012 .

[128]  Eric Mayer,et al.  For a list of recent papers see the backpages of this paper. Government Debt, Inflation Dynamics and the Transmission of Fiscal Policy Shocks , 2012 .

[129]  L. Putterman,et al.  Security of Property as a Public Good: Institutions, Socio-Political Environment and Experimental Behavior in Five Countries , 2012, SSRN Electronic Journal.

[130]  M. Shirley Measuring institutions: how to be precise though vague , 2012, Journal of Institutional Economics.

[131]  Jesus Crespo Cuaresma,et al.  Dirty floating and monetary independence in Central and Eastern Europe - The role of structural breaks , 2012 .

[132]  Dominik Erharter,et al.  Credence goods markets, distributional preferences and the role of institutions , 2012 .

[133]  Kristijan Kotarski,et al.  The Globalization Paradox: Democracy and the Future of the World Economy , 2011 .

[134]  Javier Lozano,et al.  Evolutionary Success and Failure of Wildlife Conservancy Programs Evolutionary Success and Failure of Wildlife Conservancy Programs* Evolutionary Success and Failure of Wildlife Conservancy Programs , 2022 .

[135]  J. Francois,et al.  CGE Modeling of Market Access in Services , 2012 .

[136]  Measuring institutions in the Trobriand Islands: a comment on Voigt's paper , 2012, Journal of Institutional Economics.

[137]  E. Dutcher,et al.  Does Team Telecommuting Affect Productivity? An Experiment , 2012 .

[138]  Masahiko Aoki,et al.  Institutions and Comparative Economic Development , 2012 .

[139]  Marijke Verpoorten,et al.  Narrow and scientific replication of ‘The slave trade and the origins of mistrust in Africa' , 2013 .

[140]  A. Zeileis,et al.  No myopic loss aversion in adolescents? – An experimental note , 2013 .

[141]  David van Reybrouck,et al.  Kongo : eine Geschichte , 2013 .

[142]  A. Exenberger,et al.  Extractive institutions in the Congo: checks and balances in the longue durée , 2013 .

[143]  Michael Kirchler,et al.  Hot Hand Belief and Gambler's Fallacy in Teams: Evidence from Investment Experiments , 2013 .

[144]  A. Booth Varieties of exploitation in colonial settings: Dutch and Belgian policies in Indonesia and the Congo and their legacies , 2013 .

[145]  Leigh Gardner Fiscal policy in the Belgian Congo in comparative perspective , 2013 .

[146]  Yu Ryan Yue,et al.  For a list of recent papers see the backpages of this paper. Bayesian Semiparametric Additive Quantile Regression , 2022 .

[147]  Conrad Kobel,et al.  Hospital specialisation within a DRG-Framework: The Austrian Case , 2013 .

[148]  L. Escosura Human development in Africa: A long-run perspective , 2013 .

[149]  E. Frankema Colonial Education and Postcolonial Governance in the Congo and Indonesia , 2013 .

[150]  Wolfgang J. Luhan,et al.  Monetary Policy, Inflation Illusion and the Taylor Principle – An Experimental Study , 2013 .

[151]  Achim Zeileis,et al.  Improved Probabilistic Wind Power Forecasts with an Inverse Power Curve Transformation and Censored Regression , 2013 .

[152]  E. Frankema,et al.  Colonial Exploitation and Economic Development: The Belgian Congo and the Netherlands Indies Compared , 2013 .

[153]  Maria Claudia Lopez,et al.  Tensions Between the Resource Damage and the Private Benefits of Appropriation in the Commons , 2013 .

[154]  Stefan Lang,et al.  For a list of recent papers see the backpages of this paper. Multilevel , 2022 .

[155]  Markus Walzl,et al.  Subjective Performance Evaluations and Reciprocity in Principal–Agent Relations , 2014 .

[156]  Achim Zeileis,et al.  Flexible Generation of E-Learning Exams in R: Moodle Quizzes, OLAT Assessments, and Beyond , 2014 .

[157]  Alicia Gómez López Explaining Institutional Change: Ambiguity, Agency and Power , 2014 .

[158]  Achim Zeileis,et al.  Testing for Measurement Invariance with Respect to an Ordinal Variable , 2014, Psychometrika.

[159]  Michael Kirchler,et al.  Hot hand and gambler's fallacy in teams: Evidence from investment experiments , 2015 .

[160]  Johann Scharler,et al.  For a list of recent papers see the backpages of this paper. Government Size and Business Cycle Volatility; How Important Are Credit Constraints? , 2022 .

[161]  L. Huseynova Why nations fail? The origins of Power, Prosperity and Poverty , 2015 .

[162]  Matthias Sutter,et al.  Working Papers in Economics and Statistics , 2011 .

[163]  Ronald Peeters,et al.  Beliefs and truth-telling: A laboratory experiment , 2015 .

[164]  Lukas Schrott,et al.  Regional Development in Advanced Countries: a Within-Country Application of the Human Development Index for Austria , 2015 .

[165]  Jing Hao Figure , 1972, Analysing Scientific Discourse From a Systemic Functional Linguistic Perspective.